Brahmastra On Course To Emerge A HIT -BOI - Page 12

Originally posted by: semantic.error

That's not how this works. You transfer-price it. Fox can't just give it off to Disney, Star Television and HotStar for free. You estimate the market valuation and charge your sister studios accordingly. Otherwise they would just sell it to some other studio and distribution service. If it holds on Monday, it will easily break-even.

Not to mention, money in films like this is on merchandising and sequels. If the kids like it, it will make a lot of money.

Yes money and profits being in the sequels was discussed a few pages back as well. I get the point about merchandising but ultimately this is not based on comics where they had decades of fans and cult followings. Brahmstra is brand new in a very limited market unlike say a Batman or a Superman.

Will transfer pricing really lower the final cost to whichever studio that has ownership so much that even limited revenue will make it profitable? Ultimately revenue from theaters is what they are counting on, no?

Originally posted by: subhs

The point is exhibitors paid them to buy the movie rights. They're not selling it to other OTT platforms because they want to release it on their own platform. Win-win situation for both .

You can't say they're making no money from OTT or theatrical rights.

Yes and exhibitors take half of the theatrical revenue. And whatever money they eventually make from OTT depends on viewership and subscriptions. So yes down the line they are making money off of it. But for now it doesn’t cut the cost for them like it does for other producers.

Originally posted by: IAmLuvBolly

Yes money and profits being in the sequels was discussed a few pages back as well. I get the point about merchandising but ultimately this is not based on comics where they had decades of fans and cult followings. Brahmstra is brand new in a very limited market unlike say a Batman or a Superman.

Will transfer pricing really lower the final cost to whichever studio that has ownership so much that even limited revenue will make it profitable? Ultimately revenue from theaters is what they are counting on, no?

Depends on a lot things. Hotstar is very crucial to Disney globally right now. The entire stock moves up and down on Hotstar's numbers. So if kids like Brahmastra enough to keep rewatching it, Disney would green light a sequel. There is no way anyone in Dharma or Disney expected this to break even theatrically anyway. Even Salman in his prime couldn't have made this budget work just on box office.

Originally posted by: semantic.error

Depends on a lot things. Hotstar is very crucial to Disney globally right now. The entire stock moves up and down on Hotstar's numbers. So if kids like Brahmastra enough to keep rewatching it, Disney would green light a sequel. There is no way anyone in Dharma or Disney expected this to break even theatrically anyway. Even Salman in his prime couldn't have made this budget work just on box office.

Isn’t that essentially what I said in my original post?

OK. How much do you think it needs to break even, mathematically? I just want to know what I got wrong in my original post since a few people think I was wrong (among other things apparently 😕)

Originally posted by: blue-ice.1

The same media and trade analysts were hailed when they declared Shamshera and LSC as disasters...🤣Now they are all wrong.😆

@bold...Irony dies..😆

Hahaha exactly - Anything positive is FAKE. Anything negative is gospel truth. BOI has said 'its on course to emerge a HIT' if monday holds. But negative nandus here are reading it as 'Brahmastra, a HIT' and then crying .. paid hai paid hai.

I honestly have no idea how the box office business works, and frankly don't care. The only thing that matters to me is whether or not I watch the movie.

However, in order for something to be profitable, it must earn more than it costs to make it, so for this movie to be a success, it should ideally earn more than it costs to make it. All other methods used by trade analysts or production houses are simply shady in order to build a perception that a movie is a success in the eyes of the audience.

Now, about Brahmastra, I believe it is a high-budget production considering it took years to make it and vfx in every scene😆 so it is premature to declare it a success until it does business more than its cost of production.

Originally posted by: madhuvan

I so want to expose that person with made up economics.

Will keep quiet. Peddling lies and misinformation is cool nowadays.

If you think I’m wrong tell me how I’m wrong. No need to be so over dramatic about it. You certainly didn’t need to make up a new ID for it 😆.

Your first post said producers get 60/40 in the U.S. Isn’t that even lower than my estimation of 75/25?

For the record, Gangubai was not a hit.

Originally posted by: IAmLuvBolly

Isn’t that essentially what I said in my original post?

OK. How much do you think it needs to break even, mathematically? I just want to know what I got wrong in my original post since a few people think I was wrong (among other things apparently 😕)

Originally posted by: semantic.error

I was just pointing out that you can't count it as zero revenue. If Hotstar showcases it, they still have to pay Star Studios, at least on the book. If Star Movies telecast it, they still have to count television rights. It's no different from if Netflix or Zee Movies bought it. Brahmastra's PnL would still go in the green, as long as it doesn't crash tomorrow.

OK, I get that.

I’m still curious what your mathematical calculations or estimations are for how much it needs to break even.

It’s budget is over 400 crore. Did this movie pass 400 crore to at least 500 crore and more in India box office for it to be hit?